Health and Mass Media Minister Nalinda Jayatissa said he will review concerns over tax deductions for Members of Parliament (MPs) following questions on why MPs pay lower income tax compared to others who earn similar salaries.

The issue was raised during a Cabinet media briefing after details of MPs’ salaries were circulated earlier this month by MP Ramanathan Archchuna, with questions over why the Advance Personal Income Tax (APIT) tax component appeared lower than that of private or public sector employees earning similar incomes.

Responding, the minister said tax calculations depend on basic salary and allowances, some of which may not be subject to APIT.

“No one should evade taxes. Everyone who is liable must be brought into the tax net. That is the government’s policy,” he said.

He added that the government supports expanding and formalising the tax base and would examine what components of MPs’ income are exempt from taxation.

“We are in favour of including everyone in the tax net. I will look into what is specifically exempt and get back,” he said.

Addressing a follow-up question on whether action would be taken through Parliament, the minister said MPs must pay taxes on their income, and any discrepancies would be reviewed.

“This is a government that has already abolished MPs’ pensions and removed the privileges of former presidents. We stand by fair taxation for all,” he said. (Newswire)

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